This research work is aimed at the effects of deforestation on the economic activities of the inhabitants of Abaji area in Abuja. The study employed a mixed research strategy in the collection, analysis and presentation of findings. The tools of data collection include administered questionnaires and participant observation and reconnaissance survey carried out in the study area to gather baseline information which would aid the design of the study. Information accessed during the visit includes the baseline report on problems encountered with deforestation in Abaji area. Personal interview was conducted to some selected individuals living in Abaji area wards such as agricultural officials or extension workers, farmers, household heads, fuel wood seller and people working at the timber sheds. Questionnaires based on socio-economic characteristics of the households were administered. The questionnaire was administered to meet the stated objectives of the study. Six (6) wards were sampled using stratified random sampling technique. In this situation, the Area Council was stratified into North, Central and Southern zones. 140 households were sampled. Out of 300 respondents sampled in this study, 67.3% are male while 32.7% are females. Most respondents interviewed had some form of education indicating that there is generally fairly literacy level among them except for 9% that have no formal education. The result of the study has clearly indicated that the occupation distribution of 51% of the respondents is farming. Apart from farming, other forms of occupation such as driving, tailoring, lumbering and trading constitute 28% of the response obtained. On the other hand, gathering of fuel wood, collection and gathering of medicinal plants, collection of wild fruits and nuts, collection of wild vegetables, and gathering of fodder, marketing of bush meat etc. constitute 22% respectively. By implication, this means that the bulk of the responses are directly involved in activities that cause deforestation. The study recommends that deforestation effects could be ameliorated by promulgation of government policies that regulate the use of forest products, dissemination of information on forest, environmental sustainability issues, and education on aforestation in order to improve and maintain farmlands, since agriculture has been implicated as one of the primary causes of deforestation, there is need to adopt farming systems that encourage conservation tillage. This should include introduction of organic farming method, hydroponics, greenhouse gardens, slash and char rather than slash and bum, as well as alley farming in which crops are interspersed with small trees.